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Investor Presentation

February 14, 2011


Safe Harbor Statement

This presentation contains forward-looking statements and management


may make additional forward-looking statements in response to your
questions. Such written and oral disclosures are made pursuant to the
Safe Harbor provision of the Private Securities Litigation Reform Act of
1995.
Although we believe our expectations expressed in such forward looking
statements are reasonable, we cannot assure you that they will be realized.
Investors are cautioned that such forward-looking statements involve risks
and uncertainties that could cause actual results to differ materially from
the anticipated results, and therefore we refer you to a more detailed
discussion of the risks and uncertainties in the Company’s filings with the
Securities & Exchange Commission.
The forward-looking statements contained in this presentation are made
only as of February 14, 2011, and China Ceramics is under no obligation to
revise or update these forward-looking statements.

2
China Ceramics - Overview
Company Overview

Robust Growth
 Founded as Jinjiang Hengda Ceramics FYE Dec 31
in 1993 140 122.0 USD in mns
116.7
120 107.6
 Five different types of ceramics tiles used 100 90.4
for exterior siding 80
60
 Over 2,000 color and size combinations
40 24.1 25.9 * 24.2
18.6
 Current capacity of 42.2 mm sq. meters in 20
Jinjiang Hengda and recently acquired 0
Hengdali facility 2008 2009 9 Months 09 9 Months 10

 Growth in outdoor ceramic tile market Revenue Net Income


correlated with urbanization trend * Excludes $3.6 million one-time going public transaction costs
in China
 Target capacity of 78.8 mm sq. meters by 2012
 Sold under “Hengda/HD”, “Hengdeli/HDL”, “TOERTO” and WULIQIAO trademarks
 94% of production is sold in China; 6% exported
3
China Ceramics - Overview
Equity Snapshot

NasdaqCM: CCCL FYE: DEC 31


Price (2/10/11) $7.54
Basic Shares Outstanding* 16.5 MM
Market Cap. $124.4 MM
Cash (Sep 30) $6.2 MM
Debt (Sep 30) $14.9 MM
Revenue (TTM-Sep) $148.8 MM
Net Income (TTM-Sep) $28.0 MM
Diluted EPS (TTM-Sep) $2.49

*We have 16.5M shares outstanding and approximately 2.8 million warrants outstanding with exercise price of $7.5 and expiration set for
November 16, 2012. 4
China Ceramics - Overview
Corporate History

Founded in 1993 as a Received the certification Introduced state-of-art


manufacturer of of ISO9002, ISO9001 equipment from abroad;
outdoor ceramics tiles and ISO14001 in 1999; Expanded capacity to
in Jinjiang, Fujian Gradually built up brand 32.2 mm sq. meters
Province reputation with 9 production lines

Awarded Asia's 500 Most Influential Brands of 2010


Acquired new Owns 4 patents
facility in Gao’an with right to use
Listed on Completed
on Nov 09; 11 more;
NASDAQ (CCCL) merger with
Plan to add 42 Continuously
in November SPAC (CHAC) in
mm sq. meters of focusing on R&D
2010 November 2009
capacity after for environmental
construction friendly products

China Ceramics - Overview 5


Corporate Structure
China Ceramics Co. Ltd. Former SPAC:
(CCCL:NASDAQ) China Holdings Acquisition Corp. (CHAC)
(BVI) Nov 2009 (Delaware) Jun 2007

Nov 2009 100%

Success Winner Limited


(BVI) May 2009

Jun 2009 100%

Stand Best Creation


Limited
(HK) Jan 2008
Off-shore
Apr 2008 100% On-shore: PRC
Jinjiang Hengda
WOFE
Ceramics Co., Ltd.
Sep 1993

Jan 2010 100%

Jiangxi Hengdali Ceramic


Materials Co., Ltd.
Jun 2008 6
Investment Highlights

 Prominent manufacturer of exterior ceramic tiles with meaningful market share

 Construction materials industry benefits from urbanization trend

 Favorable government policies to stimulate demand, especially in Tier II & III


cities

 Visible brand known for quality and innovation

 Location which is optimal for supplier network

 Sales both abroad and nationally through exclusive distribution agents

 Timely capacity expansion underway

China Ceramics - Overview 7


Chinese Urbanization Provides Underpinning
to Real-Estate Construction China

Outdoor ceramic tile market correlated to:

 Total urban population reached 622 million in 2009 as compared to 450 million in 2001
 Tier I cities are expected to account for only 10% of China’s commercial real estate activities
by 2020, which highlights the significant development opportunities in Tier II and Tier III
cities, according to Jones Lang LaSalle

% of Population Urbanized
Urbanization Trend in China
by Country
650 million 48%
45.7%
43.9% 44.9% 46%
600 43.0%
44%
Indonesia Malaysia Russia
41.8%
40.5% 42%
550
37.7%
39.1% 40% 50.3% 69.4% 72.9%
36.1% 38%
500
36%
450 34%
US UK
32%
400 30% 81.4% 89.9%
2000 2001 2002 2003 2004 2005 2006 2007 2008
Urban Population Urbanization Rate

Source: National Bureau of Statistics of China


Proactive Government Policy Support
and Market Growth

 Stimulus - Benefit from China’s US$585 billion economic stimulus plan to


emphasize real estate development
 Low-income housing - ~77% of the new land supply announced in April 2010
by the Ministry of Lands and Resettlement (MLR) was earmarked for low-
income housing mainly in Tier II and III cities with $9.2 billion financial support
from central government

Sales Real Estate Supply & Demand


RMB in millions MM square meters
20.0
1200
16.0
800
12.0

8.0 400

4.0
0

0.0 2006 2007 2008 2009 2010E 2011E 2012E 2013E


2006 2007 2008 2009 2010E 2011E 2012E 2013E Annual Output Annual Demand

Source: CMMC 9
Key Market Trends

 Beneficiary of long-term sustainable PRC urbanization trend

 Product trend – Such new products as “Green”, lighter, heat insulating and noise-
reduction outdoor ceramic tiles will be introduced

 Potential of Tier II and III cities


• Much of the growth in China’s GDP is being driven by economic activity in Tier II and
Tier III cities
• According to Jones Lang LaSalle, Tier I cities will account for only 10% of China’s
commercial real estate activities by 2020

 Importance of distributors
• Currently, China’s outdoor ceramic tile industry relies heavily on distributors with roughly
73% of total sales made through distribution
• As the competition intensified, more manufactures will bid for large construction projects
in an attempt to sell products to real estate developers directly

 Narrowing of quality gap between the best PRC manufacturers and international
Chinaplayers
Ceramics with continuous improvement in production
- Overview 10
Competitive Landscape

 China’s outdoor ceramics tile industry is highly fragmented with hundreds of


manufacturers

 More than 200 manufacturers are located in Jinjiang, with a combined annual
production volume of 70% of China’s total production volume

 Others are mainly located in Foshan, Zibo, Linyi, Dehua and Jiajiang, specializing
in manufacturing interior wall and floor ceramic tiles

 Major domestic competitors includes:


• White Rabbit Ceramics
• Jinjiang Tengda Ceramics Co.
• Fujian Jinjiang Xielong Ceramics Co.
Zibo & Linyi

Jiajiang
Dehua
Jinjiang
Foshan

China Ceramics - Overview 11


Comprehensive Product Suite

The company has over 2,000 color and size combinations

Rustic Porcelain Glazed


5% of Sales 76% of Sales 10% of Sales

Ultra Thin Glazed Porcelain


4% of Sales 5% of Sales

Wide array of standardized and made-to-order products


12
Research & Development

 Own 4 utility model patents and have exclusive right to use 11 design patents

 Awarded Asia's 500 Most Influential Brands of 2010

 Awarded a “High-tech Enterprise Certificate” in 2007 from Fujian Provincial


Department of Science and Technology

 85 person R&D team developed over 2,000 types of different product


combinations

 Focus on environmentally friendly products like ultra thin, light weight tiles

 Developed the energy recycling system for re-using excess heat and energy in
production to save up to 20% of cost

13
Production Process

Raw Material Mixing & Grinding Spray Drying


Inspecting

Firing Glazing Molding

14
Established and Loyal Customer Base

China Ceramics

Domestic International Real estate


distributors distributors Developers
83% of sales 6% of sales 11% of sales

 Sell ~89% of products to 40 exclusive distributors domestically and 6 internationally


 Other 11% sold directly to larger real estate developers through own sales force

 Over 10 years’ cooperation with top 10 clients, who represented 43% of sales in
2009
 Sales in Tier II and III cities account for over 90% of sales

Our Sales Coverage 15


China Ceramics - Overview
Sales Process

Discuss
Meet/Introduction design and Sign After-sales
Delivery
to customers product contracts service
specifications

 Our sales people correspond with 40 exclusive distributors in different regions and do
the direct sales

 Good communication between our sales force and distributors to avoid sales
overlapping
 Distributors make monthly reports on customer requirements

 Provide installation instructions and collect after-sales feedback by our sales force

We typically book sales within 2-3 months of delivery


16
Selected Hengda Projects

Chengdu Kanjun China Resources The 11th National


Garden Land Limited Lanxi Town Games Village

210,000 sq. meters 100,000 sq. meters 95,000 sq. meters

Hangzhou Redbud Xiamen Blue Shenyang Institute of


Garden Gulf Peninsula Aeronautical Engineering

53,000 sq. meters 133,000 sq. meters 97,000 sq. meters

China Ceramics - Overview 17


Stable Supplier Base

 Clay and coal are 2 major raw materials, accounting for 47% of COGS

 Over 10 years’ cooperation with key suppliers to ensure on-time supply and stable
price

 All raw material inspected on delivery for quality control

Raw Material % of COGS # of Suppliers


Clay 27 9
Coal 20 6
Coloring 15 8
Glazing 4 4

18
Sustainable Gross Margins

 Customized product - Nearly all production is built to order for specific projects.
Continuously focused on R&D to meet customers’ demands
 High quality product - ISO certified and use international manufacturing equipment.
Sell to customers who demand high quality (including a large Japanese construction
company)
 Brand - Our “HD” and “Hengda” brands received the “Chinese Well-Known Mark”
award and “Asia’s 500 Most Influential Brands 2010” award from the World Brand
Laboratory
 Scale - One of the largest producers of exterior ceramic tiles in China and we are able
to complete large orders for our customers. Our size enables us to enjoy certain
economies of scale savings vs. our competitors
 Energy efficiency - Hengda and Hengdali production lines recover and/or reuse waste
water, waste dust, exhaust and kiln after-heat. In 2008, this decreased our energy
costs by 20% in our Hengda factory

We are able to sell our products at a 15-20% premium vs. our competitors
19
Capacity Expansion

Hengda facility
Update 4 production lines by 2010 and the other 5 by 2011
 Increase total capacity by 15% and 14% yoy to 32.2M and 36.8M sq. meters by
2011 and 2012 respectively
Hengdali facility
Complete 2nd Phase by 2010
 Add-in additional 14M sq. meters annual capacity
Complete 3rd Phase by 2011
 Add-in additional 18M sq. meters annual capacity

2008 2009 2010 2011 2012


Hengda 28.0M 28.0M 28.0M 32.2M 36.8M
Hengdali - - 10.0M 24.0M 42.0M
OEM 1.6M 3.0M 3.5M - -
Total 29.6M 31.0M 41.5M 56.2M 78.8M
Our expansion plan will increase output by 104% in 2 years 20
Growth Strategy

 Expand capacity at Hengda and Hengdali facility (reduce reliance on OEM


contracts)

 Continue to broaden product suite through innovative R&D

 Broaden distribution network (domestic and international)

 Evaluate selective (horizontal) M&A opportunities

We will be well positioned to take advantage of competitive


opportunities domestically and then abroad

21
Robust Revenue Growth

FYE: Dec 31
(USD In millions)

140
$122.2
120 $116.7
$105.9
100
$90.0
$81.1
80

60

40

20

0
2007 2008 2009 9 Months 09 9 Months 10
The average historical rates for translation of Renminbi into U.S. dollars were RMB 6.8409, RMB 6.9623, and RMB
7.6172 to US$1.00 for the years ended December 31, 2009, 2008 and 2007, respectively. They were RMB6.8164
to USD$1.00 for the nine months ended September 30, 2010. 22
Strong Financial Margins

FYE: Dec 31
(USD In millions)
30%
28% 28% 29% 31%
40
35 24% 22%
21% 21%
30 21%

25
20 37.0 36.3
26.2
15 23.7 24.2
26.5
10 23.1 29.3
19.1 18.6
5
0
FY2007 FY2008 FY2009 9 Months 09 9 Months 10
Gross Profit Net Profit Gross Margin Net Margin
Planned reduction in OEM outsourcing and increased capacity should improve margins
The average historical rates for translation of Renminbi into U.S. dollars were RMB 6.8409, RMB 6.9623, and RMB 7.6172 to US$1.00 for the
years ended December 31, 2009, 2008 and 2007, respectively. They were RMB6.8164 to USD$1.00 for the nine months ended September 30,
2010.
FY 2009 excludes $3.6 million in one-time transaction costs associated with going public in the U.S. 23
Balance Sheet

As of Dec 31 As of Sep 30
(USD In millions)
2008 2009 2010

Cash 7.6 22.0 6.2

Debt 1.8 3.9 14.9

Total Working Capital 26.6 64.5 31.6

Shareholder’s Equity 37.2 73.9 99.0

Days Sales Outstanding 93 102 109

Inventory Turnover 98 77 66

24
Management Earn-out Targets

 The maximum shares will be released if we achieve the net income target

 If the stock price reaches $20 for 20 trading days within a 30 day period prior to
April 30, 2012, 2 million shares will be issued; if the stock price trades at or above
$25, an additional 1 million shares will be issued

 Management achieved the net income target in 2009 and received 1,214,127
shares

Net Income Target Implied Growth Maximum Shares Released


(US$ in million)

2009 22.3 1,214,127

2010 31.4 40.8% 1,794,800

2011 43.5 38.5% 2,176,836

China Ceramics - Overview 25


Management Team

 Founder of Jinjiang Hengda Ceramics Co., Ltd.


Jiadong
Huang  20 years of experience in the China Ceramic Tile Industry
CEO  Vice chairman of Fujian Province Ceramic Industry Association

 Former CFO of a Sichuan switchgear manufacturer


 Accountant of Dickson Concepts Ltd. from 2002 to 2005
Edmund Former auditor at Deloitte Touche Tohmatsu
Hen

CFO  Bachelor Degree from University of East Anglia, United Kingdom


 Associate member of Institute of Chartered Accountants in England and Wales,
and of Hong Kong Institute of Certified Public Accountants

Peizhi  Over 10 years of experience in China Ceramics Tile Industry


Su
Sales Deputy GM  Join the company in 1993 as Sales Vice General Manager
& Director

Weifeng
Su  Lawyer at Fujian Minrong Law Firm from 2005 to 2007
General legal
Counsel &  Graduated from the School of Law of Xiamen University
Secretary 26
Board of Directors

 Founder, President and CEO of Knox & Co. and Peers & Co., both international
Paul K. Kelly financial advisory firms focused on Asia
Non-Executive  Chairman and CEO of the Westgate Group, Inc., a strategic advisory firm
Chairman focusing upon cross-border business opportunities for clients, with an emphasis
on China and Asia

 Special advisor to the President of the Teacher’s College of Columbia University


Cheng Yan and University of Pennsylvania
Davis  Served as the Vice Dean of International Programs and Development at the
University of Pennsylvania Graduate School of Education (GSE International)

 Over 40 years of experience in the Building Material Industry


Ding Wei  President of China Building Ceramics and Sanitary ware Industry Association
Dong from 1997 to 2008
 Graduated from Nanjing University of Science and Technology

Bill  Over 36 years of experience in public accounting


Stulginsky  Worked and was a partner at PricewaterhouseCoopers for twenty-four years
Audit Committee
Chairman  The Board of Directors of Fox Chase Cancer Center in Philadelphia and the
Visiting Nurse Association of Greater Philadelphia
27
Summary

 Prominent manufacturer of exterior ceramic tiles with meaningful market share

 Construction materials industry benefits from urbanization trend

 Favorable government policies to stimulate demand, especially in Tier II & III


cities

 Visible brand known for quality and innovation

 Location which is optimal for supplier network

 Sales both abroad and nationally through exclusive distribution agents

 Timely capacity expansion underway

China Ceramics - Overview 28


Contact Information

China Ceramics Co. Ltd. CCG Investor Relations


Edmund Hen, CFO Mr. Ed Job, CFA
Email: info@cceramics.com Phone: (86) 21 3133 5075
Email: ed.job@ccgir.com
Mr. Bryan Blake, Sr. MI Executive
Phone: (1) 646 833 3416
Email: bryan.blake@ccgir.com

SEC Attorney Auditors


Loeb & Loeb Grant Thornton PRC
Mitchell Nussbaum, Partner Tel: (86) 21 2322 0200
Tel: (1) 212 407 4159
Email: mnussbaum@loeb.com

Giovanni Caruso, Partner


Tel: (1) 212 407 4866
Email: gcaruso@loeb.com

China Ceramics - Overview 29

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